3D TV sales double over year, but consumers’ engagement with 3D remains low

Joseph O'Halloran ©RapidTVNews | 22-05-2012


First the good news: despite almost being written off as an expensive gimmick 3D is on the rise, with set sales almost doubling over the last year according to NPD research; yet despite this climb the majority of consumers still feel 3D is not a crucial TV feature.
The NPD Group's Retail Tracking Service found that 3D TVs accounted for 11% of all flat-panel TV sales in Q1, nearly double that of last year, and 22% of all sets over 40 inches sold had 3D capability. In the US, first quarter volumes grew nearly 74% in units and 64% in revenue over last year, according to the market research company.

Sales of 3D sets are very much driven by expertise on the shop floor and NPD found that many consumers who have experience 3D regard it positively; nearly three quarters (70%) saying they were "impressed" or "amazed" by an in-store 3D demo.
Yet even though clear prowess by salespeople has delivered very positive outcomes in 2011, the survey also revealed that there is still soft demand for 3D in general. Only 14% of consumers interested in, or expecting to purchase, a flat-panel television in the next 6 months, say 3D is a "must have" feature while 68% say it's a "nice feature to have they may use in the future."
The key barriers to purchase remain as ever wearing 3D glasses, the cost of sets and accessories, and access to 3D content. Despite average prices in April 2012 being 33% lower compared to April 2010, glasses-free 3D TVs have yet to enter the mainstream market, and NPD predicts that this is likely deterring the 80% of consumers who consider 3D glasses a drawback to owning the technology. Content availability as an adoption inhibitor, however, was found to be on the wane—for consumers not interested in 3D TV, 14% say content availability is a purchase inhibitor, down from 21% in May 2011—though NPD warned that the absence of a nationwide 3D network or channel makes it difficult for consumers to plan 3D viewing.
Even though he feels 3D has been a success for the television market from a sales perspective, Ben Arnold, director of industry analysis for The NPD Group argued that the ownership of 3D TV doesn't necessarily mean consumers have adopted the technology. Getting owners to put on glasses and watch content is the real measure of 3D's success, he said: “Ffew consumers cite watching content in 3D as a reason for purchasing a TV, indicating that other factors such as screen size, resolution, and Internet connectivity hold more importance…In addition to movies and gaming, sports are essential to growing 3DTV ownership. Nearly six-in-ten sports fans are interested in watching games and matches in 3D. This summer, manufacturers and content providers can leverage large scale events like the Olympics in London and the Euro 2012 [football] tournament by televising and marketing 3D technology.”